Arithmetic & Basics
Basic

Percent Decrease

Value after a percentage decrease.

Formula

new=old(1−p)new = old(1 - p)

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Variables

oldOriginal
pPercent (decimal)

Example

$50 down 20% = $40

How it works

A percent decrease means you keep only the part of the original value that is left after the drop. If the decrease is p as a decimal, then the remaining fraction is 1 - p, so multiplying the original value by that amount gives the new value. This works because subtracting a percentage reduction is the same as removing that fraction of the starting amount.

When to use it

Use this when something gets cheaper, smaller, shorter, or reduced by a stated percentage. It appears in discounts, population decline, test score drops, and any situation where you need the value after a decrease.

Worked example, step by step

Original price = $80 Decrease = 15% = 0.15 new = old(1 - p) new = 80(1 - 0.15) new = 80(0.85) new = 68 Final answer: $68

Common mistakes to avoid

  • Using 1 + p instead of 1 - p
  • Forgetting to convert the percent to a decimal before calculating
  • Subtracting the percent from the original number directly, such as 80 - 15, instead of taking 15% of 80

Did You Know?

Discounts never stack the way shoppers expect: 20% off then another 20% off is a 36% cut, not 40%.

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Reviewed & maintained by the FormulaWon editorial teamLast reviewed September 2026